Living Costs (2024)

Japan has a reputation for its high living costs, especially Tokyo which annually makes it into the lists of the world's top ten most expensive cities. Rent tends to make up a large chunk of living costs in Japan, followed by car ownership and transport. However, living in Japan does not have to be expensive, and costs can be reigned in depending on where you are located, by choosing local products, and by living sensibly within your salary. Below is a rough guide with estimate monthly costs for a single person living in Japan.

Accommodation and utilities

Some of the world's most expensive land can be found in central Tokyo, which contributes to its reputation of being an expensive city. However, rent can vary from cheap tiny apartments of around 10 square meters to exorbitantly priced luxury apartments in prime districts. Outside of central Tokyo, housing costs are distinctly lower, especially in the suburbs, surrounding prefectures and in other regions and cities of Japan.

The nationwide average monthly rent, not including utilities, for a one room apartment (20-40 square meters) is between 50,000 and 70,000 yen. Rent for similarly sized apartments in central Tokyo and popular neighbourhoods nearby usually start from around 100,000 yen. Gaijin houses, on the other hand, are inexpensive and relatively hassle-free options to consider for those who want to stay in the city and prefer not to rent conventional apartments.

Not usually included in the rent are utilities, such as electricity, gas and water, except at some gaijin houses and monthly rentals like Leopalace. Electricity is usually the most expensive of the three followed by gas and water. The average cost for utilities for one person is around 12,000 yen a month: about 6500 yen for electricity, 3000 yen for gas and 2500 yen for water. Gas water heaters and cooktops are common in most residences, though some modern homes may have induction cooktops instead.

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Connectivity

Mobile phones are readily available to those with a valid residence card and a Japanese bank account. Conventional subscription plans are available from around 6000 yen per month, while discount operators offer cheaper plans from around 2000 yen per month.

Residents who wish to have internet access at home should consider getting either a pocket Wi-Fi device (monthly fees from 3500 yen) or subscribing to broadband or fiber optic internet (monthly fees from 4500 yen). Otherwise, paid Wi-Fi hotspots and manga cafes offer alternative options for internet access.

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Household goods and services, and entertainment

Household white goods like refrigerators, washing machines and other appliances, as well as television sets, stereo sets, cameras and computers, are sold at large chain electronic stores like Yamada Denki, Yodobashi Camera and Bic Camera, home centers and second-hand outlets like Off House. Japanese chain hypermarkets like Aeon and Ito Yokado, and interior goods retailers like Nitori and Muji offer affordable furniture and household items, while international retailers like Ikea offer competitively priced foreign products. Online retailers like Amazon and Rakuten also sell a large variety of household products.

100 Yen Shops sell a large range of products including stationery and kitchen goods at 100 yen each (plus consumption tax) and can be very cost-efficient for those who want to set up their apartments cheaply.

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Services like haircuts in Japan can be an experience in itself as Japanese hair dressers are famous for their great service, with prices that start from 4000 yen for a cut. A hair cut usually includes a wash and blow dry and sometimes a quick head massage. But there are also places where you can get a quick haircut for around 1000 yen.

For entertainment, movie theaters (ticket prices range from 1500 to 2000 yen), karaoke establishments (hourly rates start from 300 yen) and game centers can be found in most cities. Theater performances as well as live concerts are held pretty much all year round. Major cities like Tokyo and Osaka tend to have a higher number of live performances by popular local and international performers. Ticket prices start from around 6000 yen for local performers and around 12,000 yen for international performers.

Living Costs (4)

Groceries and eating out

Local supermarkets are relatively inexpensive if you stick to Japanese food like seasonal vegetables and seafood, and soy bean products. Pre-cooked products can be purchased at discounted prices shortly before closing time in the evening. It may useful to shop around the supermarkets nearby to get an idea of average prices, quality, selection and discount days.

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Cheap restaurants, which offer full meals for between 500 and 1000 yen, include those selling noodles (ramen, soba and udon), donburi (for example, beef donburi), curry rice, bibimbap (Korean style donburi), hamburgers and many more types of dishes. Look for them around and inside large train stations and in business areas.

A meal at a more average restaurant costs roughly between 1000 and 3000 yen, while there is no upper price limit when it comes to high-class restaurants such as ryotei. During lunch hours, many restaurants offer inexpensive teishoku (set menus) at around 1000 yen. Lunch boxes (bento), which are sold in convenience stores and department stores, train stations and at temporary stands in business areas are also a good deal.

Cafes, both artisanal and coffeehouse chains, can be found in most cities. A typical cup of coffee at a coffeehouse chain averages around 300 yen, while prices at boutique cafes tend to be slightly higher.

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Shopping

Inexpensive clothes can be found at the clothing department of chain hypermarkets such as Aeon, Ito Yokado or affordable basic clothing stores such as Uniqlo. Department stores and boutiques may offer more fashion forward styles but also tend to be more expensive. Note that Japanese sizing tends to run a little smaller compared to North American or European sizes, and tall or large sizes may be difficult to find.

Bookshops that carry English books and magazines are generally found only in the bigger bookshops in major cities. However, a number of websites offer a large selection of titles as well as international shipping.

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Commuting and transportation

Commuters can purchase train commuter passes for unlimited travel between their home and office/school for one or multiple months. Many Japanese companies pay part or all of their employees' train commuting expenses. While a large variety of other discount offers is available for train travel in Japan, residents in Japan cannot use many of the rail passes. Discount rail passes available to foreigners living in Japan include the JR Tokyo Wide Pass and the JR Seishun 18 Kippu amongst a few others. Check out our Guide to Japanese train tickets for more details.

Cycling is a very cost-effective way of getting around especially if you live in the city. Bicycle parking can be found near most railway stations and shopping centers. Local buses in large cities like Tokyo and Osaka complement the train and subway networks, and are the main means of public transportation in cities with less dense train networks and in the suburbs.

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Taxis can be found in almost all cities near train stations and may be the only way of getting around once trains and buses stop operating around midnight. They can also be an economical option on shorter distances if traveling in groups of three or four people.

Owning a car in Japan is relatively expensive due to the mandatory bi-annual inspections (shaken), mandatory insurance, an automobile tax and the fee for a parking space (in large cities). The cars themselves, however, are relatively inexpensive, with smaller new cars starting at around 1.3 million yen. The use of expressways is subject to tolls.

Living Costs (9)

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Living Costs (2024)

FAQs

Is $4000 a month enough to live on? ›

In fact, in many small towns with high livability scores, $4,000 is more than enough to cover both basic expenses and a mortgage.

How do you explain cost of living? ›

The cost of living is the amount of money needed to cover basic expenses such as housing, food, taxes, and healthcare in a certain place and time period. The cost of living is often used to compare how expensive it is to live in one city versus another.

Can I live off $3,000 a month? ›

You can retire comfortably on $3,000 a month in retirement income by choosing to retire in a place with a cost of living that matches your financial resources. Housing cost is the key factor since it's both the largest component of retiree budgets and the household cost that varies most according to geography.

Can you live off $1000 a month after bills? ›

Living on $1,000 per month is a challenge. From the high costs of housing, transportation and food, plus trying to keep your bills to a minimum, it would be difficult for anyone living alone to make this work. But with some creativity, roommates and strategy, you might be able to pull it off.

Is $1,000 a month livable? ›

But it is possible to live well even on a small amount of money. Surviving on $1,000 a month requires careful budgeting, prioritizing essential expenses, and finding ways to save money. Cutting down on housing costs by sharing living spaces or finding affordable options is crucial.

Is $2000 a month livable? ›

Retiring on a fixed income can seem daunting, but with some planning and commitment to a frugal lifestyle, it's possible to retire comfortably on $2,000 a month. This takes discipline but ultimately will allow you to have more freedom and happiness in your golden years without money worries.

How much should your cost of living be? ›

50% of your net income should go towards living expenses and essentials (Needs), 20% of your net income should go towards debt reduction and savings (Debt Reduction and Savings), and 30% of your net income should go towards discretionary spending (Wants).

What is considered a high cost of living? ›

Cost of living indexes often use a score of 100 to represent a base cost of living. States with scores over 100 have a higher cost of living than the national average.

What is the real cost of living? ›

Cost of living is defined as the amount of money required to cover necessary expenses to maintain a certain lifestyle standard in a particular place. These expenses can include housing, food, transportation, taxes, health care and more.

Can I retire on $36,000 a year? ›

According to the 80% rule, someone who is earning $45,000 at the end of their career would need $36,000 every year in retirement, while someone who is earning $200,000 would need $160,000.

Can a person live on $1,500 a month? ›

A couple can live comfortably for under $1,500 per month, including rent, utilities, dining out and incidental expenses.

What is the 50 30 20 rule? ›

Those will become part of your budget. The 50-30-20 rule recommends putting 50% of your money toward needs, 30% toward wants, and 20% toward savings. The savings category also includes money you will need to realize your future goals. Let's take a closer look at each category.

What is the 60 20 20 rule? ›

Put 60% of your income towards your needs (including debts), 20% towards your wants, and 20% towards your savings.

How little money can you live on? ›

An individual must earn $96,500 a year before taxes to afford housing, groceries, transportation and entertainment, while also paying off debt and putting some money into savings, according to personal finance website SmartAsset.

How to live as cheaply as possible? ›

12 Tips for Frugal Living
  1. Choose quality over quantity. ...
  2. Prioritize value over price. ...
  3. Use credit wisely. ...
  4. Declutter regularly. ...
  5. Use a budget to guide your spending. ...
  6. Know the difference between wants and needs. ...
  7. Be a savvy consumer. ...
  8. Prioritize your values.
Oct 17, 2023

Where can I live comfortably on $4000 a month? ›

What $4,000 a Month in Rent Can Get You in 10 U.S. Cities
  • New York, NY. Cozy studio apartment in the West Village. ...
  • Milwaukee, WI. 3-bedroom penthouse with panoramic views. ...
  • Scottsdale, AZ. Newly renovate 3-bedroom home with in-ground swimming pool. ...
  • Las Vegas, NV. ...
  • Columbus, OH. ...
  • Atlanta, GA. ...
  • Miami, FL. ...
  • Denver, CO.
Apr 30, 2024

Is $4,000 a month a good income? ›

Making $4,000 a month in extra income is no joke. After all, this equals $48,000 per year, which is more than the average annual income in many places around the world. Maybe you're looking for a replacement to your day job. Or, maybe you just want to try some different side hustles to boost your monthly income by 4K.

How much money does the average person live on per month? ›

The average monthly expenses for one person can vary, but the average single person spends about $3,405 per month. Housing tends to consume the highest portion of monthly income, with the average annual spending on housing at $1,885 per month per person.

How much money can you live on per month? ›

Average Expenses of U.S. Households in 2022 and 2021
20222021
MonthlyAnnually
One person$3,693$40,859
Family of two$6,372$69,382
Family of three$7,189$79,163
3 more rows
Nov 14, 2023

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